JUNE STOCK TALK II

Got in at $9.20.  Probably a little much but ended up going in for about half of my usual position size. 

On a side note, got in on DRYS at $78.54 for about half of my usual position size.  I've watched this thing get beat up over the last few days, and in my humble opinion, I think it is about ready for a little upward swing. 

I'm not going to do anything fancy with CRDC.  just holding

I added SPY puts today and SPWR puts. 

Looks like my humble opinion was just a wrong  opinion.

Hopefully this chippy from Cantor Fitzgerald knows what she is talking about:

"The index's reading for Capesize vessels -- the largest drybulk carriers -- fell 16 percent. The average Capesize vessel now costs about $180,000 per day, compared with prices of more than $230,000 per day last week. Capesize vessels are so named because they are too big to fit through the Suez or Panama canals, and must instead sail around the Cape of Good Hope or Cape Horn to travel between oceans.

Cantor Fitzgerald analyst Natasha Boyden said in an interview the significant drop was the result of Chinese iron ore importers working through their stock piles of the commodity instead of bringing more into the country. With the huge demand for iron ore, steel and other commodities carried by drybulk ships soaring, Boyden said Chinese importers turned to their own supplies as ports clogged and drybulk rates skyrocketed.

But Fitzgerald noted that the Chinese only have about three to four weeks worth of iron ore stockpiled. After its resources are used up, Boyden said drybulk ships will again be in high demand to deliver goods to the country.

"This (pull back) is merely temporary," she said. "Painful, but temporary."

https://biz.yahoo.com/ap/080612/drybulk_baltic_drop.html?.v=2

In the same article, an analyst from J.P. Morgan predicts that it will get compunded by a lull around the Beijing Olympics.  If he is right, it could be a pretty rough next few months. 

Anyone have any thoughts?  I thought about doubling to a full position, but the J.P. Morgan analyst worried me a little bit for the short term.  I think I am going to hold off and see how much farther this drops